European stocks lower ahead of Bank of England rate decision; Siemens down 4%

European markets moved lower Thursday morning ahead of a Bank of England meeting, which is expected to deliver a rate hike despite uncertainty over Brexit.

The pan-European Stoxx 600 was down by 0.6 percent with almost every sector in the red. Basic resources dropped 2 percent and auto stocks fell as much as 1.5 percent on the back of trade concerns. Overnight, President Donald Trump’s administration sought to push China harder on trade by suggesting that it could increase import taxes to 25 percent on $200 billion-worth of goods.

Looking across the European index, Amundi was among the top gainers up by 7 percent, after reporting second-quarter profits. The London Stock Exchange also rose 2.7 percent after reporting its latest results. The group said that it has activated contingency plans in case the U.K. leaves Europe next year without any deal.

In other earnings news, French lender Societe Generale published its second-quarter results showing a 9.3 percent increase in net income from a year ago. Shares fell 1.6 percent.

Elsewhere, the Bank of England is to release its latest interest rate decision and inflation report at 12:00 London time. The U.K.’s central bank is set to increase interest rates from 0.5 percent to their highest since the financial crisis a decade ago as Governor Mark Carney seeks to prevent the domestic economy from overheating, despite slow growth on the back of Brexit uncertainty.

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